Macrotech Developers’ Sales Bookings Slump 62% In Q1

A vehicle travels near the entrance of the World Towers residential project, developed by Macrotech Developers Ltd., in Mumbai, India. (Photographer: Kanishka Sonthalia/Bloomberg)

Macrotech Developers’ Sales Bookings Slump 62% In Q1

Macrotech Developers Ltd. (formerly known as Lodha Developers Ltd.) saw its sales bookings fall in the quarter ended June as the deadlier second Covid-19 wave led to fresh curbs in several states, disrupting business.

The Mumbai-based real estate developer’s pre-sales—actual booking took place but the entire amount has not been realised—dropped 62% sequentially at Rs 957 crore in the April-June 2021 period, according to its business update released on the bourses.

  • It has clocked collections worth Rs 1,714 crore during the period, down 18% over the preceding three months.

  • Pre-sales and collections, however, jumped 88% and 346% over the prior year, when the nation was under a complete lockdown to curtail the first wave of the pandemic.

Also read: Home Sales Drop In Top Seven Cities In April-June, Says JLL

“Further strengthening its presence in Mumbai region and Pune, the group entered into joint development agreements with two new projects in this quarter totaling 1.5 million sq. ft. of saleable area,” the company said. “These two projects are in addition to the two that were informed with our Q4FY21 results in May 21.”

The developer also said that it has reduced its consolidated net debt by Rs 3,600 crore during the reported quarter. Last month, its promoters repaid Rs 1,596-crore debt owed by them to the company.

Macrotech’s looking to continue to focus on its capital-light growth strategy around affordable and mid-income housing and digital infrastructure (warehousing, data centers, and industrial parks, among others).

“…home is considered the safest haven, both emotionally as well as financially; and housing industry will continue playing a pivotal role in nation-building and revival of economy.”

Shares of Macrotech Developers gained as much as 5.6% to Rs 702 apiece on Thursday, before paring some of its gains. As of 12:50 p.m. the stock is up around 3.3%, compared with the NSE Nifty 50 Index's 0.7% drop.

Also read: Mumbai Home Sales See First Real Spike Since Stamp Duty Relief Ended

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